Revenue for the year-ended December 31, 2012 was $18,086,765, compared to $11,132,243 for the same period in 2011, an increase of $6,954,522, or 62%. The increase was due to several factors including an expanded customer base in the Southern Louisiana, Southeastern Texas and Arkansas regions and an increase in sales volume as a result of increased demand for petrochemical sales and services to customers engaged in the hydraulic fracturing of oil and gas wells. In addition, the Company increased revenue to several of its existing customers through sales of additional production petrochemical products at its existing customers' well-sites.

The Company's gross profit, as a percentage of revenue for the year, was 44% compared to 52% for the same period in 2011, a decrease of 8%. The decrease in gross margin was a result of a significant increase in sales of completion petrochemicals that have a lower gross profit margin compared to production petrochemicals.

General and administrative expenses, net of amortization and depreciation, impairment of certain intangible assets and a gain on de-recognition of contingent liability increased by $2,390,445, or 27% for the year, compared to the same period in 2011. The increase in expenses for the year is primarily due to the expansion of the Company's operating personnel from 43 to 52 employees and the cost of international business development of $828,000 that the Company spent on evaluating and developing certain international opportunities compared to $377,000 in the prior year. The Company also incurred approximately $690,000 in legal fees in 2012 as a result of certain litigation, namely the trade secret infringement lawsuit that the Company initiated in March 2012 to protect its trade secrets and $352,000 in development of environmental markets. There were no comparable amounts in the prior fiscal year. The stock based compensation included in the general and administrative expenses was $2,482,678 and $2,960,428 for the years ended December 31, 2012 and 2011, respectively.

Net loss for the year ended December 31, 2012 was $5,081,732, an increase of $756,218 compared to a loss of $4,325,514 for the same period in 2011. The primary reason for the increase in net loss was an increase in derivative liability of $293,843 and, as noted above, the investment in international and environmental development during the year ended December 31, 2012.

Mr. David Dugas, President of ESP Resources, Inc., commented, "Our significant increase in revenues for 2012 highlights our unique product and service offerings to our new and existing customers. We will continue to strive for significant revenue increases, but we now also recognize that it is incumbent upon us to reach profitability in this next phase of our growth."

Mr. Dugas continued, "We have already begun to implement a reduction in our operating costs without sacrificing our ability to take advantage of both domestic and international business opportunities. International business development expenses, legal fees and stock-based compensation are three areas that we can reduce expenses since much of these costs were one-time expenses that will not be realized in 2013."

Mr. Dugas concluded by saying, "We believe that 2013 will be the year that we will begin to see significant business from our international business partners. We appreciate the support from all our shareholders and are committed to our continued growth in 2013."

Three Months Ended December 31, 2012

Revenue for the quarter-ended December 31, 2012 was $3,734,494, compared to $3,596,504 for the same period in 2011, an increase of $137,990, or 4%. These increases were due to expanded sales coverage in each of the Company's districts as well as increased sales volume from the addition of completion petrochemical sales and services to customers engaged in the hydraulic fracturing of oil and gas wells. In addition, the Company increased revenue to several of its existing customers through the supply of additional production petrochemical products at its existing customers' well-sites.

About ESP Resources, Inc.:

ESP Resources, Inc. is a publicly traded oil and gas services company (OTCBB: ESPI) headquartered in The Woodlands, Texas. Through its subsidiaries, the Company manufactures, blends, distributes and markets specialty chemicals and analytical services to the oil and gas industry and also provides services for the upstream, midstream and downstream sectors of the energy industry, including new construction, major modifications to operational support for onshore and offshore production, gathering, refining facilities and pipelines designed to optimize performance and increase operators' return on investment. The Company's senior management has over 100 years of combined operating experience in the oil and gas services industry. More information is available on the Company's website at www.espchem.com.

Legal Notice Regarding Forward-Looking Statements:

This press release contains "forward looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Forward looking statements are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions or that events or conditions "will", "would", "may", "can", "could" or "should" occur. Information concerning oil or natural gas reserve estimates may also be deemed to be forward looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed. Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. It is important to note that actual outcomes and actual results could differ materially from those in such forward-looking statements.

Readers are cautioned not to place undue reliance on the forward-looking statements made in this press release. In evaluating these statements, you should consider the risks discussed, from time to time, in the reports we file with the U.S. Securities & Exchange Commission. For a discussion of some of the risks and important factors that could affect the Company's future results and financial condition, see the Company's Form 10-Ks and 10-Qs on file with the U.S. Securities & Exchange Commission.